G7 rally behind swift and comprehensive regulation for crypto

Finance ministers and central bank governors from the G7 have called on the cryptocurrency industry to receive swift and comprehensive regulation.  

According to Bitcoin.com, the stakeholders met in Bonn and Königswinter, Germany to discuss the regulation of crypto assets.

A communique summarizing the leaders decisions underlined, “The G7 supports work by the Financial Stability Board (FSB) to monitor and address financial stability risks arising from all forms of crypto-assets, and welcomes increasing global cooperation to address regulatory issues associated with the use of crypto-assets, including in cross-border payments.

“In light of the recent turmoil in the crypto-asset market, the G7 urges the FSB to advance the swift development and implementation of consistent and comprehensive regulation of crypto-asset issuers and service providers.”

The FSB remarked that it will work closely with ‘international standard-setters’ on crypto regulation ‘with a view to holding crypto-assets, including stablecoins, to the same standards as the rest of the financial system’.

The communique continued, “In particular, the G7 calls for rapid implementation of the Financial Action Task Force (FATF) ‘travel rule’ and stronger disclosure and regulatory reporting, for instance, as regards reserve assets backing stablecoins.

“We reaffirm that no global stablecoin project should begin operation until it adequately addresses relevant legal, regulatory and oversight requirements through appropriate design and by adhering to applicable standards.

“The G7 remains committed to high regulatory standards for global stablecoins, following the principle of same activity, same risk, same regulation.”

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